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February 28, 2007
Financial documents
Three whole pages of financial documents were released by the Empire State Development Corporation today. The fact that only three pages cover a $4 billion project implies that more was left unsaid than revealed.
The analysis is still forthcoming, but there are some really interesting comments on Brownstoner, which got the documents up online first.
AY Financial Projections: We Got 'Em
Also posted earlier on Brownstoner, ESDC Forced to Cough Up Financial Docs on AY
Shahn Andersen, the savior/developer of Broken Angel, has been keeping up to date on the topic, posting expert commentary on Brownstoner.
Early this morning, Andersen provided a lesson on Development Financials 101:
Forget about the big number that they will make (I'd estimate it at around a billion dollars), what is their real return on investment when they have been given atleast $300 million dollars up front from various city and state agencies to do the deal? Even if they end up spending $50 or a $100 million of their own equity outside of financing, at the end of the day, they will make 1000% to 2000% ROI from what they actually invested.
Andersen's reaction to the documents released today:
Would anyone really go through all of this trouble for a measly 9.6 IRR?
Here are the documents:
Total Project Cash Flows
Combined Returns Summary
Nets Arena Cash Flows
Posted by lumi at February 28, 2007 6:42 PM